Trend Micro Announces Revision of Forecasts of Consolidated Financial Results for the Fourth Quarter of Fiscal Year Ending December 31, 2006

Tokyo, Japan – February 15, 2007 - Trend Micro (TSE: 4704; Nasdaq: TMIC), a leader in network antivirus and Internet content security software and services, today announced that the forecast of financial results for the fourth quarter of fiscal year ending December 31, 2006, which were announced on October 31, 2006, has been revised as set forth below:

1. Revision of forecast of financial results for the fourth quarter of FY2006

(U.S. GAAP)

(October 1, 2006 to December 31, 2006)

Net Sales

Operating Income

Net Income

Forecast previously published (A)

22,800

7,100

3,800

Revision made (B)

23,300

6,700

5,000

Difference (B-A)

+500

-400

+1,200

Ratio of increase or decrease

+2.2%

-5.6%

+31.6%

2. Reason for Revision

While our original forecast for the fourth quarter bookings (Non-GAAP: amount of contracts concluded) was 26 billion Yen, up 6% from the same quarter in the previous year, due to stronger than expected revenue growth in North America and EMEA region, we now forecast ending the quarter with bookings of 29 billion Yen, up 18% from the same quarter in the previous year.

According to our revenue recognition policy, only a portion of the additional bookings has been recognized as the sales, while all the costs related to that increase have been expensed, resulting in a negative impact on the quarterly operating profits. As the result, though net sales are slightly ahead of our expectations, operating income forecast is now lower by 5.6% from the original forecast. On the other hand, net income forecast is 31.6% above original forecasts due to higher than expected interest income and a tax rate which is lower than our earlier conservative projection.
In summary, as a result of this revision, compared to the previous forecast of the fourth quarter, there is a increase of 2.2% in Net Sales and a decrease of 5.6% in operating income, and increase of 31.6% in net income, respectively.

Notice Regarding Forward-looking Statements

Certain statements that we make in this release are forward-looking statements. These forward-looking statements are based upon management’s current assumptions and beliefs in light of the information currently available to it, but involve known and unknown risks and uncertainties. Many important factors could cause our actual results to differ materially from those expressed in our forward-looking statements. These factors include:

Difficulties in addressing new virus and other computer security problems

Timing of new product introductions and lack of market acceptance for our new products